Strategy overview

The US Government Cash Management strategy invests in US Government securities including US Treasuries, agencies and mortgage-backed securities backed by US agencies. Performance is typically measured against the Citigroup 3-Month T-Bill Index with the overall duration generally kept between +/-10% of the duration of the benchmark.

We believe a well-constructed diversified portfolio managed within an active risk framework will enhance consistent income with low volatility

• Duration Range: 0-270 days
• Maturity Range: 0-13 months
• Investment Universe: US Treasury, Agency, Agency guaranteed obligations
• Credit Quality: AAA, fully customizable

Our approach

Investment process

• Thorough understanding of the issuer, credit and debt structure
• Focus on security selection and curve exposure while actively managing duration, call and extension risk
• Invest in out-of-benchmark sectors when expected return justifies the opportunity
• Avoid making large duration calls

Risk management

• Mandate and policy controls
• Full, multidisciplinary vetting of client policies and objectives
• Multiple levels of review
• Clear accountability and cross checks
• High quality focus reduces credit risk